WA Premier's 'East Coast Clowns' Jab Crosses a Line, Says Productivity Commission

Commissioner Angela Jackson defends integrity of GST report as political tensions flare over Western Australia's generous deal

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By LineZotpaper

Published26 August 2026

Read Time3 min

Sources3 outlets

The Productivity Commission has declared that Western Australian Premier Roger Cook crossed a line when he labelled its commissioners 'east coast clowns' in response to a damning report that described the state's Morrison-era GST floor deal as a $23 billion mistake. Commissioner Angela Jackson has condemned the personal attacks as 'unacceptable' while also expressing disappointment that Prime Minister Anthony Albanese has ruled out any changes to the arrangement.

The clash between the Productivity Commission and Western Australia's Labor government has escalated into open political warfare, with Commissioner Angela Jackson insisting that the country's leading independent economic advisory body is being unfairly maligned.

Speaking on Tuesday, Jackson — co-author of the commission's August 14 report — said robust debate over policy was welcome but personal attacks on the commission's integrity crossed a line. "We welcome scrutiny of our analysis, we welcome criticism, but when you start attacking the integrity of the commission itself as an institution, that's unacceptable," she told reporters.

The dispute stems from the commission's assessment of the GST distribution deal struck under former Prime Minister Scott Morrison. The report called the arrangement a "costly mistake" that has cost other states an estimated $23 billion over the life of the deal, which guarantees Western Australia at least 70 cents for every dollar of GST revenue it generates.

Premier Roger Cook reacted furiously to the findings, branding the commissioners "east coast clowns" and accusing them of bias against Western Australia. He has since doubled down, arguing that the deal corrected a long-standing inequity for the resource-rich state and that any attempt to unwind it would punish Western Australians for the nation's mining boom.

Jackson also took aim at the federal government's position, saying it was "disappointing" that Prime Minister Anthony Albanese had ruled out revisiting the deal. The Prime Minister, seeking to avoid a damaging political fight ahead of the next election, has publicly backed the existing arrangement, a stance that has frustrated smaller states like South Australia and Tasmania who argue they are being short-changed.

The Productivity Commission is Australia's chief microeconomic reform advisory body, and its reports are intended to inform government policy without fear or favour. Critics of the Cook government's response argue that the personal attacks undermine the very notion of independent, evidence-based advice. Supporters of the WA position, however, contend that the commission's east‑coast perspective fails to account for the unique fiscal challenges facing the nation's largest exporting state.

With national cabinet meetings and ongoing budget pressures, the GST carve-up is likely to remain a flashpoint in federal-state relations for the foreseeable future.

Analysis

Why This Matters

The GST distribution directly affects the quality of public services in every Australian state and territory — billions of dollars are at stake.
The Productivity Commission's independence is central to evidence-based policy; political attacks on its credibility could set a precedent that weakens its future influence.
With an election looming, the GST deal has become a litmus test for federal-state relations and the Albanese government's willingness to take on a powerful state.

Background

The current GST floor deal for Western Australia was introduced in 2018 under Scott Morrison, guaranteeing WA no less than 70 cents per dollar of GST raised. It was intended as a temporary measure to address a spike in mining royalties that had pushed WA below its historical share. The deal was later extended by the Albanese government. The Productivity Commission's August 2026 report argued that the floor has cost other states $23 billion and distorted the horizontal fiscal equalisation system. Premier Cook, who took office in 2023, has made defending the deal a cornerstone of his premiership.

Key Perspectives

Western Australia Government: The deal is a fair correction for years of systemic underfunding. WA generates enormous national wealth through mining but receives a smaller per-capita share of GST than its contribution warrants. Personal attacks on the commission reflect frustration with what they see as a Canberra‑centric, east-coast bias. Productivity Commission: The commission's role is to provide impartial analysis. Personal insults and attacks on its integrity undermine the institution's ability to function. The data shows the deal has been highly generous at the expense of other states. Smaller States (SA, Tasmania, ACT): They argue the WA deal is unsustainable and deprives them of funds needed for hospitals, schools, and infrastructure. They want the floor removed or tapered.

What to Watch

Whether Prime Minister Albanese maintains his position of no change, or whether pressure from other states forces a national cabinet discussion.
The Productivity Commission's next scheduled report on federal-state financial relations, expected later this year, which could further inflame tensions.
Opinion polling in Western Australia: Cook’s strong defence may boost his domestic standing, but could hurt Labor federally in other states.

Sources

Productivity Commission slams 'clowns' comments after GST report — Just In
Productivity Commission says ‘line was crossed’ when WA premier labelled them ‘east coast clowns’ over GST — Australia news | The Guardian
Productivity Commission says ‘line was crossed’ when WA premier labelled them ‘east coast clowns’ over GST — World news | The Guardian